CANADA – The multinational confectionery firm, Mondelez International has opened a new CAD$40 million (US$30 million) candy production line at its manufacturing facility in Hamilton, Canada.
The investment saw the firm add 15,000 square feet of space to the facility that will house the new production line with a capacity to produce 11 million pieces of candy per day.
The Hamilton plant produces popular candy brands like Sour Patch Kinds, Maynards, and Swedish Fish. The company said that the new production line will enable its to meet consumer demand in Canada for the next few years.
Following the expansion, 50 new workers were added as a result of the project, bringing the plant’s headcount to 350.
Mondelez reports strong third quarter
During the three months to end 30th September, the Illinois-headquartered firm reported 4.2% growth in revenue driven by a 6.6% rise in performance of emerging markets.
The company has managed to beef up its distribution and e-commerce channels as it continues to pursue a global expansion strategy.
During the quarter, Mondelez reported 35% growth in e-commerce an achieved a new distribution milestone in China. The company has opened 1.5 million outlets with its biscuit products and 1 million outlets for gum in China.
The company also delivered strong results in three of its four regions. Global brands grew mid-single digits, while local brands continued to accelerate with growth.
In aggregate, emerging markets grew approximately 7%, marking the fifth consecutive quarter of growth, greater than 5%.
Following a strong third quarter, the Oreo cookies and Trident chewing gum maker raised its 2019 outlook and expects full-year organic net revenue growth to exceed 3.5%, up from the previous estimate of over 3%.
“We are pleased to report another quarter of strong top-line growth, continuing the momentum of the first half, enabling us to further increase our outlook for the year,” said CEO Dirk Van de Put.
“Our strategy to accelerate growth by focusing on the consumer, driving operational excellence and unlocking the potential of our local business units is delivering good results from both local and global brands.”
“As it relates to 2020 we continue to see big opportunities for us to keep on driving the categories to improve our market share and increasing our investment in our brands, in our capabilities,” he added.
